Canada, Indonesia agree to trade pact

Canada and Indonesia have successfully concluded trade negotiations, setting the stage for a comprehensive deal between the two countries in the coming year. The announcement was made by Prime Minister Justin Trudeau and Indonesian President Prabowo Subianto at the Asia-Pacific Economic Cooperation summit.

While some technical details still need to be ironed out, both leaders are optimistic that the agreement will be signed by next year. The deal will cover a wide range of areas including goods, services, investment, as well as standards for small businesses, labor, the environment, and gender equality.

One of the key focuses of the agreement is to boost trade in the digital and renewable energy sectors. Indonesia, with its booming economy and a young population of 280 million, has been seeking ways to reduce its reliance on fossil fuels and address issues related to high carbon emissions and biodiversity conservation.

Trudeau emphasized the importance of Indonesia as the largest economy in Southeast Asia and highlighted the potential for collaboration in nuclear technology. As part of Canada’s Indo-Pacific Strategy, the government plans to send a trade mission to Indonesia to explore opportunities in the nuclear energy sector.

In a surprising move, Trudeau also revealed Canada’s interest in partnering on nuclear energy projects in Southeast Asia, particularly in light of the increasing energy demands for technologies like artificial intelligence. The government aims to leverage its “trade gateway” initiative to facilitate business partnerships and promote knowledge sharing in the nuclear sector.

The focus will be on introducing new technologies like small modular reactors, which offer a more sustainable and efficient way of generating low-carbon energy. This aligns with Canada’s broader goals of supporting regional objectives and fostering innovation in the nuclear industry.

Overall, the trade agreement with Indonesia marks a significant milestone in Canada’s efforts to strengthen economic ties with key partners in the region. By leveraging opportunities in renewable energy and nuclear technology, both countries stand to benefit from enhanced cooperation and sustainable growth in the Indo-Pacific region.